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(Requires Appendix Material): Show That the AR(1)process Yt = A1Yt-1 a1\left| a _ { 1 } \right|

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(Requires Appendix material): Show that the AR(1)process Yt = a1Yt-1 + et; a1\left| a _ { 1 } \right| < 1, can be converted to a MA(∞)process.

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Yt = a1Yt-1 + et = a1(a1Yt-2 + et-1)+ et = blured image_TB5979_11_TB...

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